On the daily chart, Shiba Inu The price appears to be forming a head and shoulders pattern, which is a bearish reversal indicator that often indicates possible future downside. There are three peaks in this formation with the middle peak (head) being higher than the two side peaks (shoulders) and the neckline acting as a level. supports.

The neckline for SHIB appears to be developing near the $0.00002100 level. Price confirmation of the head and shoulders pattern could lead to additional downside momentum if it breaks below this crucial support. Measuring the distance between the neckline and the top and pointing it downward will achieve the target price for this pattern.

This puts a potential target in the $0.00001750 range, which is close to the 200 EMA, a strong support level for SHIB. at the moment, Gray The pair maintains its position above the neckline despite slight upward attempts to break out to the upside. However, low trading volumes and RSI levels hovering around the neutral zone - neither overbought nor significantly oversold - indicate that momentum is weak.

This indicates the hesitation of traders and the unclear path of the asset. Gray The bearish pattern may be invalidated and target resistance at $0.00002250 and then $0.00002500 if it manages to stay above the neckline and regain momentum. A break above these levels could spark optimism and spur further profits.

On the other hand, a confirmed breakout below the neckline could attract more downside momentum if selling pressure increases, pushing SHIB towards the pattern's target price, which is around $0.00001750. Traders should monitor the $0.00002100 level closely for signs of a breakout or breakdown at the moment. All things considered, caution is advised as SHIB's next course of action could be crucial to its immediate future.

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not responsible for any financial losses incurred while trading cryptocurrencies. Do your own research by contacting financial experts before making any investment decisions. We believe all content to be accurate as of the date of publication, but some offers mentioned may no longer be available.